The National Assembly of the Republic of Serbia adopted the Law on Alternative Investment Funds on 10 October 2019, which will become applicable on 20 April 2020.
Serbia is further harmonizing its capital market laws with the EU acquis and this time, new legal concepts are adopted into the Serbian legislation by transposing the Directive 2011/61/EU on Alternative Investment Fund Managers.
Aside from the aforementioned harmonization and new legal concepts, set goals include further development of the capital market and the small, and medium-sized enterprises (SMEs). Given the banks are the main sources of financing for the SMEs in Serbia and their strict requirements associated with the financing, this is considered as an opportunity for the SMEs to expand their access to a greater variety of alternative financing.
From the investor’s perspective, it is expected that separation of the now existing closed and private funds from the valid Law on Investments and aligning them with EU regulations should be more attractive for the venture capital and private equity investors.
The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.